Questions about selling future chicks

[Weeg]

I took a quick look at your state requirements. You probably don't want to do that unless you are planning on doing more than I think you are. But don't just throw up your hands and quit before you find out if that does apply to what you want to do. It's possible that if you stay in state and sell below a certain number of birds that may not apply to you.

This is kinda what I was thinking. I though that if it was easier, I could look into getting NPIP, but now that I understand the whole process, it doesn't seem to worth it to me for the small scale "business" I want to accomplish.
This is just my first stepping stone, in the future I may expand and do a bigger "business", but for now I just want to figure out a responsible way to sell chicks without a ton of extra effort.

 

[Brooks_]

selling live birds is not tax free

They're not considered a food? Certainly, they can't be considered a pet.

 

[U_Stormcrow]

They're not considered a food? Certainly, they can't be considered a pet.

Its squirrelly. I could probably get away without it, the law supports me in it, I'll decide when I send in last quarter's paperwork. Sales tax on $5 isn't a huge deal either way though. But now that I realize that producers are exempt, I think I'll report it as non-taxable - though I still have to report it.

Florida Sales Tax Rules​

12A-1.049 Sales of Animals​

(1) Sales of livestock and poultry to consumers by any person other than a producer are taxable. However, gross proceeds derived from the sale in this state of livestock and poultry direct from the farm are exempt, provided that such sales are made directly by the producers. The producers shall be entitled to such exemptions although said livestock so sold in this state may have been registered with a breeders or registry association prior to such sale and although such sale takes place at a livestock show or race meeting, so long as the sale is made within this state by the original producer.
(2) For purposes of this rule, livestock includes all animals of the equine, bovine, or swine class, including goats, sheep, mules, horses, hogs, cattle, ostriches and other ratite species, and other grazing animals raised for commercial purposes. The term "livestock" also includes fish raised for commercial purposes.
(3) The sale of a race horse or a racing dog by its owner is exempt if the owner is also the breeder of the animal, even if the owner does not reside in this state. When the owner is not the breeder, such sales are subject to tax and the owner is required to register as a dealer and collect the applicable tax.
(4) The sale of race horses in this State is subject to tax. Tax is due on the claiming price of any horse that is claimed at any racing meet held in this State.
(5) Sales tax is required to be collected on the maximum amount for which a horse is sold at a claiming race one time only during the entire racing season that extends from the opening of the first track in this State in the fall through the closing of the last track in this State in the spring. To avoid a duplication of tax, officials of the various race tracks collect tax as required on such sales and furnish other tracks with accurate, detailed lists of the sales. The following example is intended to show how this works out in practice. A horse is sold in a claiming race for $5,000 and later is sold in a claiming race for $6,000. The tax would be collected on the first sale of $5,000 and on the $1,000, difference between the first and second sale. This track would forward a detailed list showing these sales to the next track. At another track, during the same racing season, the same horse is sold for $6,000 at a claiming race and then at still another claiming race it is sold for $7,000. No tax would be collected on the latter $6,000, because tax had already been collected on that amount during the current season. However, tax is due on the additional $1,000 realized from the sale at $7,000.
(6) The sale of livestock for breeding purposes is exempt.
Rulemaking Authority 212.17(6), 212.18(2), 213.06(1) FS. Law Implemented 212.02(29), 212.07(5)(a), (b), (6), (7), 212.08(7)(qq) FS. History– Revised 10-7-68, 6-16-72, Amended 9-28-78, 7-20-82, Formerly 12A-1.49, Amended 3-1-00.

 

[Brooks_]

Sales tax on $5 isn't a huge deal either way though.

No, it's not. But the principle is.

I read this as you being safe from having to collect for the state.
"However, gross proceeds derived from the sale in this state of livestock and poultry direct from the farm are exempt, provided that such sales are made directly by the producers"

 

[U_Stormcrow]

No, it's not. But the principle is.

I read this as you being safe from having to collect for the state.
"However, gross proceeds derived from the sale in this state of livestock and poultry direct from the farm are exempt, provided that such sales are made directly by the producers"

I do too. Unlike my normal habit, I assumed sales tax were required based on my purchases at the farm store, which I believe were taxed. Nice to see producers get exempted. Appreciate your asking the question, resulting in my actually reading that part of the code!

I think I'll move that $5 rooster sale over to join the eggs in the untaxed column. I owe you $0.35. Thanks!